What decision rule should be followed when deciding is a business segment should be eliminated?

What decision rule should be followed when deciding if a business segment should be eliminated?

Here is the answer of the given question above. The decision rule that should be followed when deciding if a business segment should be eliminated is this: Segments with revenues which are less than avoidable expenses should be considered for elimination.&amp;nbsp;Unavoidable expense are those expense which will continue to be incurred whether segment is continued or discontinued.&amp;nbsp;Hope this helps.&lt;/p&gt;&lt;p&gt;The segments whose revenue is less than the avoidable expense of the organization must be eliminated when the management considers the elimination of a business segment.&lt;br&gt;Explanation:&lt;br&gt;The segments contributing less than the avoidable expense of the organization are deemed to contribute negatively to the organization. Hence the organization must consider eliminating such segments in order to ensure the sustainability and growth of all the segments and organization collectively.&lt;br&gt;Further explanation:&lt;br&gt;Avoidable expenses of an organization are those expenses which generally occur only with the continuity of that particular activity. Thus, the discontinued practice of such an activity will result to end of such expenses. Such an expense includes – cost on direct labour, directly attached marketing costs, etc.&lt;br&gt;Hence the segments which yield less than the avoidable cost of the organization must be considered for the elimination as they give inadequate returns and are unprofitable for the organization.&lt;br&gt;Learn More:&lt;br&gt;The concept of avoidable cost in respect to decision making, &amp;nbsp;&lt;br&gt;, Answered by W0lf93 &amp;nbsp;A decision in which a manager needs to determine whether a product line (or segment) should continue or be eliminated is what kind of decision , &amp;nbsp;, Answered by Almatheia Keywords:&lt;br&gt;Elimination of a segment, less revenue making segments, avoidable cost in elimination of segment, avoidable expense.&lt;/p&gt;&lt;p&gt;answer; i do believe that the correct answer is (c)///management,unions, lobbyists and&lt;/p&gt;&lt;p&gt;Ibelieve your answer is d&lt;/p&gt;&lt;/div&gt;&lt;footer class="entry-meta" aria-label="Entry meta"&gt;&lt;span class="cat-links"&gt;&lt;span class="screen-reader-text"&gt;Categories &lt;/span&gt;&lt;a target="_blank" href="https://answerprime.com/category/business/" rel="category tag"&gt;Business&lt;/a&gt;&lt;/span&gt;&lt;nav id="nav-below" class="post-navigation" aria-label="Single Post"&gt;&lt;span class="screen-reader-text"&gt;Post navigation&lt;/span&gt;&lt;div class="nav-previous"&gt;&lt;span class="prev" title="Previous"&gt;&lt;a target="_blank" href="https://answerprime.com/how-did-the-posting-of-the-twelve-theses-by-students-reflect-nazi-policy/" rel="prev"&gt;How did the posting of the “twelve theses” by students reflect nazi policy?&lt;/a&gt;&lt;/span&gt;&lt;/div&gt;&lt;div class="nav-next"&gt;&lt;span class="next" title="Next"&gt;&lt;a target="_blank" href="https://answerprime.com/what-is-intangible-creative-work-that-is-embodied-in-physical-form-and-includes-copyrights-trademarks-and-patents/" rel="next"&gt;What is intangible creative work that is embodied in physical form and includes copyrights, trademarks, and patents?&lt;/a&gt;&lt;/span&gt;&lt;/div&gt;&lt;/nav&gt;&lt;/footer&gt;&lt;/div&gt;&lt;/article&gt;&lt;div class="comments-area"&gt;&lt;div id="comments"&gt;&lt;div id="respond" class="comment-respond"&gt;&lt;h3 id="reply-title" class="comment-reply-title"&gt;Leave a Comment &lt;small&gt;&lt;a target="_blank" rel="nofollow" id="cancel-comment-reply-link" href="https://answerprime.com/what-decision-rule-should-be-followed-when-deciding-if-a-business-segment-should-be-eliminated/#respond" style="display:none"&gt;Cancel reply&lt;/a&gt;&lt;/small&gt;&lt;/h3&gt;&lt;form action="https://answerprime.com/wp-comments-post.php" method="post" id="commentform" class="comment-form" novalidate&gt;&lt;p class="comment-form-comment"&gt;&lt;label for="comment" class="screen-reader-text"&gt;Comment&lt;/label&gt;&lt;textarea id="comment" name="comment" cols="45" rows="8" required&gt;&lt;/textarea&gt;&lt;/p&gt;&lt;label for="author" class="screen-reader-text"&gt;Name&lt;/label&gt;&lt;input placeholder="Name *" id="author" name="author" size="30" required&gt; &lt;label for="email" class="screen-reader-text"&gt;Email&lt;/label&gt;&lt;input placeholder="Email *" id="email" name="email" type="email" size="30" required&gt; &lt;label for="url" class="screen-reader-text"&gt;Website&lt;/label&gt;&lt;input placeholder="Website" id="url" name="url" type="url" size="30"&gt;&lt;p class="comment-form-cookies-consent"&gt;&lt;input id="wp-comment-cookies-consent" name="wp-comment-cookies-consent" type="checkbox" value="yes"&gt; &lt;label for="wp-comment-cookies-consent"&gt;Save my name, email, and website in this browser for the next time I comment.&lt;/label&gt;&lt;/p&gt;&lt;p class="form-submit"&gt;&lt;input name="submit" type="submit" id="submit" class="submit" value="Post Comment"&gt; &lt;input type="hidden" name="comment_post_ID" value="47543" id="comment_post_ID"&gt; &lt;input type="hidden" name="comment_parent" id="comment_parent" value="0"&gt;&lt;/p&gt;&lt;/form&gt;&lt;/div&gt;&lt;/div&gt;&lt;/div&gt;&lt;span class="ezoic-autoinsert-ad ezoic-under_first_paragraph"&gt;&lt;/span&gt;&lt;/main&gt;&lt;/div&gt;&lt;div class="widget-area sidebar is-left-sidebar" id="left-sidebar"&gt;&lt;div class="inside-left-sidebar"&gt;&lt;aside id="block-30" class="widget inner-padding widget_block"&gt;&lt;div class="wp-container-1 wp-block-group"&gt;&lt;div class="wp-block-group__inner-container"&gt;&lt;h3&gt;&lt;span id="ezoic-pub-ad-placeholder-651" class="ezoic-adpicker-ad"&gt;&lt;/span&gt;&lt;span class="ezoic-ad ezoic-at-0 box-1 box-1651 adtester-container adtester-container-651" data-ez-name="answerprime_com-box-1"&gt;&lt;span id="div-gpt-ad-answerprime_com-box-1-0" ezaw="300" ezah="250" style="position:relative;z-index:0;display:inline-block;padding:0;min-height:250px;min-width:300px" class="ezoic-ad"&gt;&lt;script data-ezscrex="false" data-cfasync="false" style="display:none"&gt;if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[300,250],'answerprime_com-box-1','ezslot_6',651,'0','0'])};__ez_fad_position('div-gpt-ad-answerprime_com-box-1-0');<span style="width:300px;display:block;height:14px;margin:auto" class="reportline"><span style="text-align:center;font-size:12px!important;font-family:arial!important;float:left;line-height:normal"><a href="https://www.ezoic.com/what-is-ezoic/" target="_blank" rel="noopener noreferrer nofollow" style="cursor:pointer"><img src="https://sg.cdnki.com/what-decision-rule-should-be-followed-when-deciding-is-a-business-segment-should-be-eliminated---aHR0cHM6Ly9nby5lem9pYy5uZXQvdXRpbGNhdmVfY29tL2ltZy9lem9pYy5wbmc=.webp" alt="Ezoic" loading="lazy" style="height:12px!important;padding:2px!important;border:0!important;cursor:pointer!important;width:58px!important;margin:0!important;box-sizing:content-box!important"></a></span><span class="ez-report-ad-button" name="?pageview_id=89d7bcd9-d031-4ac1-61cd-36fd32eeb1ae&ad_position_id=651&impression_group_id=answerprime_com-box-1/2022-09-24/2067377814222888&ad_size=300x250&domain_id=334542&url=https://answerprime.com/what-decision-rule-should-be-followed-when-deciding-if-a-business-segment-should-be-eliminated/" style="cursor:pointer!important;font-size:12px!important;color:#a5a5a5;float:right;text-decoration:none!important;font-family:arial!important;line-height:normal">report this ad</span></span>Popular Articles</p><ul class="wp-block-latest-posts__list wp-block-latest-posts"><li><a target="_blank" class="wp-block-latest-posts__post-title" href="https://answerprime.com/effective-revision-techniques-for-gcse-and-a-level/">12 Effective Revision Techniques For GCSE and A-Level</a></li><li><a target="_blank" class="wp-block-latest-posts__post-title" href="https://answerprime.com/how-to-add-audio-to-powerpoint/">How to add audio to PowerPoint?</a></li><li><a target="_blank" class="wp-block-latest-posts__post-title" href="https://answerprime.com/how-to-skip-through-online-training-videos/">How to skip through online training videos?</a></li><li><a target="_blank" class="wp-block-latest-posts__post-title" href="https://answerprime.com/creative-ways-to-use-flashcards/">Creative Ways To Use Flashcards</a></li><li><a target="_blank" class="wp-block-latest-posts__post-title" href="https://answerprime.com/how-to-make-effective-flashcards/">How To Make Effective Flashcards?</a></li></ul></div></div><span id="ezoic-pub-ad-placeholder-652" class="ezoic-adpicker-ad"></span><span class="ezoic-ad ezoic-at-0 large-leaderboard-1 large-leaderboard-1652 adtester-container adtester-container-652" data-ez-name="answerprime_com-large-leaderboard-1"><span id="div-gpt-ad-answerprime_com-large-leaderboard-1-0" ezaw="300" ezah="250" style="position:relative;z-index:0;display:inline-block;padding:0;min-height:600px;min-width:300px" class="ezoic-ad"><script data-ezscrex="false" data-cfasync="false" style="display:none">if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[300,250],'answerprime_com-large-leaderboard-1','ezslot_1',652,'0','0'])};__ez_fad_position('div-gpt-ad-answerprime_com-large-leaderboard-1-0');

What decision rule should be followed when deciding is a business segment should be eliminated?

What decisions rule should be followed when deciding if a business segment should be eliminated?

Segments with revenues that are more than avoidable expenses should be considered for elimination. Incorrect Segments with revenues that are more than unavoidable expenses should be considered for elimination. Segments with revenues that are less than avoidable expenses should be considered for elimination.

What is the decision rule?

A decision rule is a simple IF-THEN statement consisting of a condition (also called antecedent) and a prediction. For example: IF it rains today AND if it is April (condition), THEN it will rain tomorrow (prediction). A single decision rule or a combination of several rules can be used to make predictions.